Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the District Finance topic
No spam. Unsubscribe anytime.
Treasurer warns state property-tax changes are squeezing district revenue; income-tax renewal eyed as path forward
Summary
The treasurer told the board that recent property-tax reforms and growth caps are constraining local property-tax revenue and that the district's income tax—up for renewal in 2028—likely will be critical to maintaining a balanced budget and 90-day cash reserves.
The district's treasurer presented a financial forecast that highlighted how recent state property-tax reforms are constraining the district's largest revenue source and creating volatility across Ohio school budgets. The treasurer said that while the district is fiscally stable now—thanks to a board-adopted 90-day cash reserve policy and tight expense growth assumptions—loss of income-tax funding in 2028 would push the operating budget negative without renewal or other adjustments.
"Property tax is our largest source of revenue and we are now severely constrained by that because of tax credits millage reductions and growth caps," the treasurer said while walking through charts showing revenue composition. He emphasized that income tax accounted for nearly 20% of local revenue and that an income-tax renewal is likely the "path forward" to sustain reserves and staffing levels. Trustees asked detailed questions about state-formula drivers, year-to-year grant projections and transportation cost growth; the treasurer attributed several year-to-year shifts to state formula inputs (median income, property valuations and enrollment) and to market adjustments for transportation contracts.
